Bank of Thailand eyes measures to curb hot money

Bank of Thailand eyes measures to curb hot money

The Bank of Thailand plans to tackle hot money after the baht's appreciation. (Photo by Patipat Janthong)
The Bank of Thailand plans to tackle hot money after the baht's appreciation. (Photo by Patipat Janthong)

The Bank of Thailand (BoT) is set to implement measures to curb hot money following the baht's rapid gain. 

"The measure is expected to be taken soon. The central bank already has measures to take care of the foreign exchange rate," said Monetary Policy Committee secretary Titanun Mallikamas. 

The central bank has closely monitored offshore fund inflows, especially those flowing into short-term bonds, he said, adding that the inflows could be for both speculation and investment purposes as Thai bonds are considered to be safe haven assets.

The rate-setters expressed concern that the baht's rise might not be consistent with economic and fundamentals and would continue closely monitor developments of exchange rates and capital flows, he said.

The baht is the top performing currency in Asia with a roughly 5.5% gain against the greenback this year. The rapid appreciation has prompted worries that it is eroding the country's competitiveness and deepening the export slump.


Do you like the content of this article?
COMMENT (4)

GSB eyes lower rates for car titles

Government Savings Bank (GSB) is aiming to lower the interest rate for car title loans to ease the burden on borrowers in this segment, says Vitai Ratanakorn, the bank's president and chief executive.

08:30

CAAT warns airlines to check CoE

The Civil Aviation Authority of Thailand (CAAT) stressed that all airlines must strictly check the Certificate of Entry (CoE) of all foreign passengers before they arrive in Thailand, in compliance with the Foreign Ministry's screening guidelines.

07:43

Krabi operators counsel urgent vaccine readiness

Tourism operators in Krabi are urging the government to procure enough vaccines and establish clear regulations for national parks in preparation for the area's sandbox to open on Oct 1.

06:33